CareDx, Inc. (CDNA) vs RadNet, Inc. (RDNT)

CareDx, Inc. and RadNet, Inc. are both Diagnostics & Research companies. RadNet, Inc. is the larger, with a market value of $5.5B against $3.5B — 1.6× the size. RadNet, Inc. has negative trailing earnings, so its P/E is not meaningful; CareDx, Inc. trades at 29.7×. CareDx, Inc. grew revenue faster over the last twelve months: 34.4% against 18.9%. CareDx, Inc. has the higher net margin (24.2% vs −0.93%) and the higher return on invested capital (130.1% vs 2.24%). Across the 20 metrics below, CareDx, Inc. leads on 15 and RadNet, Inc. on 5.

Valuation

Metric CDNA RDNT Diagnostics & Research median
P/E 29.68 n/m 35.56
P/S 7.17 2.35 4.37
P/B 7.72 3.82 3.06
Price to free cash flow 39.51 164.99 35.76
EV/EBITDA 22.40 19.29 24.35
EV/Sales 6.36 2.62 5.51
Earnings yield 3.37% (0.39%) (1.89%)
Free cash flow yield 2.53% 0.61% (0.15%)

Profitability

Metric CDNA RDNT Diagnostics & Research median
Gross margin 70.58% 11.53% 50.89%
Operating margin 23.61% 3.12% (8.57%)
Net margin 24.23% (0.93%) (6.37%)
Free cash flow margin 18.49% 3.28% 0.00%
Return on equity 29.49% (1.64%) (2.92%)
Return on assets 22.72% (0.55%) (6.71%)
Return on invested capital 130.06% 2.24% 0.00%

Growth

Metric CDNA RDNT Diagnostics & Research median
Revenue growth (TTM) 34.41% 18.92% 7.69%
EPS growth (last fiscal year) (143.01%) (725.00%) 25.92%
Revenue growth, 5-year CAGR 14.59% 13.74% 7.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CDNA RDNT Diagnostics & Research median
Debt to equity 0.00 0.94 0.11
Current ratio 4.58 1.48 2.02
Net debt to EBITDA 19.49 1.16 0.70

Dividend

Metric CDNA RDNT Diagnostics & Research median
Dividend yield — — 0.66%
Payout ratio — — 0.20

Size

Metric CDNA RDNT Diagnostics & Research median
Market cap 3.45b 5.54b 2.16b

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